The relationship between Stellar (XLM) and Ripple (XRP) has once again taken center stage in the cryptocurrency market, propelling XLM towards notable growth.
XLM price has skyrocketedconsolidating at the time of this publication as the cryptocurrency with the greatest increase in the last seven days.
Seven days ago, its price was around $0.12; howeverin the current day it has reached 0.30 dollarsmarking an increase of 150%.
This rise has also strengthened its position in the market, placing it in 18th place by capitalization with a total of 9,000 million dollars, according to CoinMarketCap data.
Although still is far from its all-time high of $0.9 (down 67%), this growth has revitalized interest in XLM.
The momentum has coincided with significant movements in the price of XRP, which recently reached $1, a milestone it had not achieved for three years, as reported by CriptoNoticias.
The connection between both cryptocurrencies, both technical and historical, has made XRP’s successes have a direct impact on XLM.
XRP Connection Boosts Stellar
XLM and XRP share a similar market segment: both focus on fast and cheap cross-border payments.
Additionally, XLM open interest had not reached current highs since Ripple’s partial legal victory in July 2023, according to Coinglass data.
This event affected both XRP and indirectly XLM, due to its connection in the market and investor perception.
The increase in open interest, which reflects a greater inflow of capital and the opening of new positions in the marketreinforces bullish expectations for Stellar.
Strategic collaborations strengthen Stellar
On the other hand, Stellar has been expanding its network of strategic collaborations, increasing its attractiveness in the market. Renowned companies such as Mastercard and Franklin Templeton have integrated the Stellar network into their operations.
Mastercard you are using the Stellar network in its Crypto Credential solution, a tool designed to verify interactions between users and companies. This innovation allows users to send cryptocurrency via email, simplifying the process and making it more accessible.
The investment firm Franklin Templeton, for its part, has announced plans to manage assets worth $1.7 trillion through the Stellar network. These types of alliances not only increase Stellar’s credibility, but They also open new adoption and use opportunities for XLM.
A common founder
The historical connection between Stellar and Ripple is not coincidental. Jed McCaleb, one of the founders of Ripple Labs in 2012, played a pivotal role in the initial development of XRP.
However, after abandon Ripple in 2014 due to internal differences, McCaleb founded Stellar with the goal of promoting financial inclusion through the digitization of currencies.
This shared inheritance It is reflected in both the technical characteristics and the philosophical vision of both cryptocurrencies.. Stellar, like Ripple, seeks to establish alliances with banks and financial entities to improve global transactions.
Although they compete in the same sector, XLM and XRP also complement each other, attracting investors interested in cross-border payment solutions. XLM’s recent performance is a reminder of the impact that XRP’s movements can have on its evolution.